Nikkei Stock Average falls for 3rd straight day, third drop this year due to worsening external environment | Reuters

2023-07-06 06:02:00

[TOKYO (Archyde.com)]- The Nikkei Stock Average fell 565.68 yen from the previous business day to 32,773.02 yen on the Tokyo stock market, ending trading after a significant drop. Asian stocks and U.S. stock futures fell due to uncertainty about the future of the world economy and concerns about the prolonged tightening of the U.S. monetary policy, and Japanese stocks also fell. The price fell for three days in a row due to a combination of negative factors such as a sense of caution over the selling of exchange-traded funds (ETFs) to generate dividends. It was the third largest decline of the year.

On July 6th, the Nikkei Stock Average fell 565.68 yen from the previous business day to 32,773.02 yen on the Tokyo stock market, ending the trading session with a sharp decline. The picture is a stock price board in Tokyo. December 2015 (2023 REUTERS/Toru Hanai)

The Nikkei Stock Average continued to decline even after closing at a low of 405 yen, and there was a scene in the aftermath where it dropped 700.98 yen to a low of 32,637.72 yen. In addition to the sharp decline of the Hang Seng index in the Asian market, the US stock futures were anaerobic, such as the decline of the three indices across the board and the appreciation of the yen.

Hiroshi Namioka, chief strategist at T&D Asset Management, said that the Nikkei stock average was in a high price range after the collapse of the bubble economy and a sense of overheating. He said that due to concerns about selling by ETFs, “For the time being, the supply and demand side will continue to be a burden, and the situation will continue to be difficult to attack,” and commented that investors’ cautious stance is likely to become stronger until mid-July.

TOPIX ended the morning trading down 0.82% at 2287.07 points. The trading value of the Tokyo Stock Exchange prime market was 3,569,803 million yen. All 33 industries on the Tokyo Stock Exchange fell. Machinery, precision equipment, other products, other financial industries, and non-ferrous metals were the top performers.

Individually, the Nikkei 225 stocks such as Fast Retailing, Tokyo Electron, Daikin Industries, Softbank Group, and Advantest have fallen sharply. On the other hand, Ajinomoto, Recruit Holdings and Otsuka Holdings rose.

Socionext fell by 5,000 yen (22.78%) from the previous day to 16,950 yen, which was proportional to the stop price. The trading volume was 137,800 shares. The announcement on the previous day that the largest shareholder, the Development Bank of Japan, as well as major shareholders, Fujitsu and Panasonic Holdings, had decided to sell all of their holdings was disappointing.

In the Tokyo Stock Exchange prime market, 318 stocks (17%) rose, 1477 stocks (80%) fell, and 40 stocks (2%) remained unchanged.

Closing Price Change from previous day Opening Low/High

Nikkei Average 32773.02 -565.68 33058.40 32,637.72─33,079.45

TOPIE 2277.08 -28.95 2292.86 2,270.20─2,295.95

Prime Index 1171.81 -14.92 1180.44 1,168.34─1,181.50

Standard Index 1111.16 -11.72 1118.26 1,109.74─1,118.82

Growth index 1000.80 -29.62 1018.74 998.47─1,020.79

TSE trading volume (10,000 shares) 150018 TSE trading value (100 million yen) 35698.03

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